Tuesday, February 12, 2013

Hadn't thought of this before (my bad), but there's another little gem implicit in The ObamaTax:

Currently many (most?) working folks get their health insurance through employer-sponsored plans. And many of these folks pay their portion of the premium pre-tax, via Section 125 (or "cafeteria") plans.

Since many (most?) group plans will be going away over the next few years, employees dumped onto the Exchanges will lose that feature, and will have no alternative but to pay all their premiums with after-tax dollars. Adding insult to injury, a lot of these folks will be making too much money to qualify for any subsidies. And, of course, those in states with Federally-run Exchanges will get none.

Hadn't thought of this before (my bad), but there's another little gem implicit in The ObamaTax:

Currently many (most?) working folks get their health insurance through employer-sponsored plans. And many of these folks pay their portion of the premium pre-tax, via Section 125 (or "cafeteria") plans.

Since many (most?) group plans will be going away over the next few years, employees dumped onto the Exchanges will lose that feature, and will have no alternative but to pay all their premiums with after-tax dollars. Adding insult to injury, a lot of these folks will be making too much money to qualify for any subsidies. And, of course, those in states with Federally-run Exchanges will get none.